Selling Price Of Product Research Articles

Process Simulation and Techno Economic Analysis of Astaxanthin Production from Agro-Industrial Wastes

In this study, process simulation of solid state fermentation processes is used to model and evaluate the economic viability of industrial-scale facilities that produce powdered astaxanthin (PAX) and an astaxanthin oil mixture (AXO) from wheat bran (WB) and olive pomace (OP) respectively. The proposed process flowsheets are analyzed and the results from the techno-economic and sensitivity analysis are presented. Simulation results indicate that the profitability of the two processes did not change much when capacity was increased beyond 10,000 kg per batch that was the base case for study. Through a sensitivity analysis, the effect of batch size, raw material cost, labor cost and product selling price on process economics was investigated. For the base case capacity, the total capital investment for the PAX and AXO plants were estimated at $22,308,000 and $13,489,000 respectively. The payback times of PAX and AXO processes were calculated as 4.92 and 7.19 years respectively. The capacities of 4799.91 kg/batch and 6815.15 kg/batch were calculated as the break-even points for PAX and AXO productions. The techno-economic analysis demonstrated that producing AX from agro-industrial wastes is a feasible and promising technology.

Inventory Policies for Price-Sensitive Stock-Dependent Demand and Quantity Discounts

It was usually observed in typical EOQ inventory models that the holding cost, the purchasing cost and the demand rate are constant and the purchasing cost is irrespective of the order size. But practically, the demand rate is based on various factors including sale price, seasonality and availability. Due to the lengthening of shortage periods, the holding cost per unit item increases. Also with the inclusion of quantity discounts, the unit purchasing cost is usually decreased for higher order sizes. This article addresses jointly with the inconsistency of the rate of demand, unit purchasing cost and unit holding cost for deteriorating items. This paper proposes a model based on an inventory problem including selling price of products and stock-dependent market demand rate, holding cost based on storage time and purchasing cost is influenced by order size by offering all units quantity discounts. An algorithm for estimating the optimum solution of decision variables by maximizing total profit and minimizing the overall cost of the model is developed in this paper. Validation of the developed model is confirmed with the help of a numerical example along with the sensitivity-analysis of decision variables by varying various inventory parameters.

Measuring the invisible

PurposeConstruction logistics is an essential part of Construction Supply Chain Management for both project management and cost aspects. The quantum of money that is embodied in the transportation of materials to site could be 39–58 per cent of total logistics costs and between 4 and 10 per cent of the product selling price for many firms. However, limited attention has been paid to measure the logistics performance at the operational level in the construction industry. The purpose of this paper is to contribute to the knowledge about managing logistics costs by setting a key performance indicator (KPI) based on the number of vehicle movements to the construction site.Design/methodology/approachA case study approach was adopted with on-site observations and interviews. Observations were performed from the start of construction until “hand-over” to the building owner. A selection of construction suppliers and subcontractors involved in the studied project were interviewed.FindingsData analysis of vehicle movements suggested that construction transportation costs can be monitored and managed. The identified number of vehicle movements as a KPI offers a significant step towards logistics performance management in construction projects.Originality/valueThis research paper demonstrates that framework of using vehicular movements meet the criterion of effective KPI and is able to detect rooms for improvements. The key findings shed valuable insight for industry practitioners in initiating the measurement and monitor “the invisible logistics costs and performance”. It provides a basis for benchmarking that enables comparison, learning and improvement and thereby continuous enhancement of best practice at the operational level, which may accelerate the slow SCM implementation in the construction industry.

Technoeconomic Sensibility Analysis of Industrial Agar Production from Red Algae

Red algae are one of the three main groups of macroalgae, these are found mainly in marine ecosystems and are used for the elaboration of foods, cosmetics, among others. Macroalgae of the genus Gracilaria sp. They are one of the sources of agar production, a polysaccharide formed by different units of galactose, which are associated forming two different polysaccharides, agarose and agaropectin. Because the agar has several purposes, it is appropriate to evaluate the economic response of the production. In this work was developed the economic evaluation and the technoeconomic sensibility analysis of the industrial production of agar from red algae, using the evaporation route, which employs seven units of operation, in order to analyze the behavior of the process when changer occur in the technoeconomic environment of the process as break-even point, on-stream efficiency, raw material cost, among others. Results show that for a processing capacity of 8,640 t/y of macroalgae with a plant life of 15 y, the total capital investment (TCI) was $11,937,000 and fixed capital investment (FCI) was $7,022,000 for a plant located in North Colombia. In addition, annualized total operating costs (AOC) were calculated in $24,514,000. Critical technoeconomic variables were raw material costs, product selling price and normalized variable operating costs (NVOC).

Techno-economic Sensitivity Analysis of Large Scale Chitosan Production Process from Shrimp Shell Wastes

Chitin is one the most abundant natural amino-polysaccharides in nature, it is found in the exoskeleton of many arthropods on earth, being the main component of these ones. Great quantities of crustaceans are processed daily for human consumption, generating big shell wastes to should be correctly treated and give them a final disposal that not bringing environmental concerns to fishing industry. There are potential uses of these shell wastes, and one of them is the extraction of chitosan from chitin present in these wastes. In this work was developed the economic evaluation and the techno-economic sensitivity analysis of the large-scale production of chitosan from shrimp shell wastes via depigmentation, demineralization, deproteinization and deacetylation of chitin, using the ethanol-based route, which employs ten units of operation, in order to analyze the behavior of the process under changes of the techno-economic environment of the process as break-even point, on-stream efficiency, raw material cost, among others. Results shows that for a processing capacity of 57,000 t/y of shell waste with a plant life of 15 y, located in North Colombia, the critical techno-economic variables were raw material costs which with an increase in 100 % of price decreases the Profit After Taxes (PAT) close to zero, product selling price and normalized variable operating costs (NVOC).

Solving closed-loop supply chain problems using game theoretic particle swarm optimisation

In this paper, we propose a closed-loop supply chain network configuration model and a solution methodology that aim to address several research gaps in the literature. The proposed solution methodology employs a novel metaheuristic algorithm, along with the popular gradient descent search method, to aid location-allocation and pricing-inventory decisions in a two-stage process. In the first stage, we use an improved version of the particle swarm optimisation (PSO) algorithm, which we call improved PSO (IPSO), to solve the location-allocation problem (LAP). The IPSO algorithm is developed by introducing mutation to avoid premature convergence and embedding an evolutionary game-based procedure known as replicator dynamics to increase the rate of convergence. The results obtained through the application of IPSO are used as input in the second stage to solve the inventory-pricing problem. In this stage, we use the gradient descent search method to determine the selling price of new products and the buy-back price of returned products, as well as inventory cycle times for both product types. Numerical evaluations undertaken using problem instances of different scales confirm that the proposed IPSO algorithm performs better than the comparable traditional PSO, simulated annealing (SA) and genetic algorithm (GA) methods.

Closed-loop supply chain games with innovation-led lean programs and sustainability

This paper studies the impact of some innovation-led lean programs in a Closed-loop Supply Chain (CLSC) setting. We use a game-theoretic approach to model a CLSC composed of one supplier and one manufacturer. The supplier sets the wholesale price of an intermediate product while the manufacturer sets the selling price of a final product. Further, the manufacturer invests in innovation-led lean practices to entail both a strategic effect and a process innovation effect. The strategic effect consists of responsiveness involving the CLSC's capacity to properly respond to consumers' needs and leading to increase in sales. Further, the strategic effect enhances sustainability as consumers align their behavior to the CLSC's attitude of reducing the waste through lean, thus using their products for longer time period and entirely exhausting their residual value. Innovation-led lean practices also generate a process innovation effect, which consists of the marginal production cost abatement. Our findings indicate that lean practices leading to both strategic and process innovation are profitable for the manufacturer and sponsor sustainability. When only one of those can be presented, CLSCs should prefer the adoption of a strategic lean program. From its side, the supplier is much less sensitive to environmental benefits, thus it focuses on sales and operational matters. Furthermore, in a centralized CLSC, the preferences for strategic vs. process innovation lean follow the same path of the decentralized CLSC. Nevertheless, we pinpoint that the manufacturer in the decentralized CLSC has a larger incentive to adopt a strategic lean program than in the centralized CLSC. Also, the supplier always obtains larger economic benefits in the decentralized CLSC under any type of innovation-led lean program.

Analisis Perubahan Laba Kotor (Gross Profit) pada P.R. Kembang Jati Kudus

The company's performance usually seen from the financial aspect is generated by analyzing the financial statements of the income statement. Analyzing the income statement aims to determine the extent to which the corporate earnings to the owner for a certain period. Analyzing the income statement can be carried out by analyzing changes in gross profit. This analysis is useful to determine the level of efficient and effective company in business. The lower gross profit continuously can be caused by changes in the selling prices of products, changes in the price of production and other costs to be incurred by the company every year, causing a decrease in gross profit, which in turn lead to acceptance of the company's profits are reduced or even loss. Income is mainly influenced by three factors are interrelated to one another, namely sales volume, sales prices, and production costs. The research objective is to analyze the changes in gross profit (Gross Porfit), to assess the factors causing the change in gross profit PR Kembang Jati and search efforts to maintain the increase in gross profit to the company's performance can be improved.

PENGARUH KEBUDAYAAN, DORONGAN EKONOMI DAN TINGKAT PENDIDIKAN TERHADAP PRAKTEK MENAIKKAN HARGA JUAL BELI PADA OBJEK WISATA DANAU TOBA SUMATERA UTARA

The practice of increasing selling prices can be influenced by many factors, particularly habitual factors and factors inherent in the individual business actor himself. These factors are cultural factors, economic encouragement and education. This study aims at finding the influence of culture, economic encouragement and the level of education partially and simultaneously influencing the practice of increasing the buying and selling price of the Lake Toba Tourism Object, North Sumatra. The population of this research is 57 restaurant entrepreneurs. In determining the number of samples, saturated samples used so that the sample is 57 businesses. The data collection techniques used in this study are questionnaires, interviews and documentation studies. While the data analysis techniques used are the classical assumption test, multiple regression, partial t test, simultaneous F test and the coefficient of determination. The results show that cultural variables have a significant effect on the selling and buying prices of restaurant businesses at Lake Toba attractions. When the culture of community is better, the selling price is also better. Economic drive variables have a significant effect on the selling and buying prices of restaurant businesses at Lake Toba attractions. The better the economic boost, the better the selling price. The level of education variable has a significant effect on the selling price of restaurant products at Lake Toba attractions because the better the level of education, the better the selling price. Cultural variables, economic drive, and education level simultaneously have a significant effect on a significant effect on the selling price of restaurant products at Lake Toba tourism objects. As much as 86.90% of the variation in selling prices can be explained by culture, economic drive and education level simultaneously, while the remaining 13.10% is explained by other factors, such as variables such as variables such as location and type of business

Techno-economic assessment of Levulinic Acid Plant from Sorghum Bicolor in Indonesia

The increasing need of energy is one of the main energy security issues in Indonesia. Hence, alternative energy is needed. Levulinic acid (LA) is among chemical platform used in the synthesis for avariety of high-value materials, such as fuels and commodity chemicals. It is predicted that global LA market demand to reach 3.1 tons in 2016. This study examines industrial processdesign and economic analysis for LA production in Indonesia.Sorghum bicolor was used as feed because of its high cellulose, low lignin contents and availability in Indonesia. The conventional economic problem from biomass based production was diminished sincethe valuable waste from pretreatment processwas sold to otherindustry.This plant was recommended to be built in an industrial estate area in Jawa Timur (East Java) province. Results from simulation using SuperPro Designer 9.0 was used for the techno-economic assessment.The plant assessment showed that the minimum production capacity was 7.7 ton per day to achieve an internal rate of return (IRR) and payback period (PBP) values of 19.61% and 3.93 years, respectively. Sensitivity analysis showed that product selling price was the most predominant factor for IRR, NPV, PBP and ROI. Raw material and water had low effects on those economic parameters. These values indicated that LA plant was feasible to be built in Indonesia.

Quality disclosure strategies for small business enterprises in a competitive marketplace

In this paper, we use a game-theoretic approach to investigate quality disclosure strategies for small business enterprises (SBEs). There are two SBEs with heterogeneous product quality competing in a competitive marketplace. In the first stage of the game, each SBE decides whether to disclose its quality information to customers through the retailer. In the second stage of the game, depending on the quality disclosure strategies chosen, the SBEs decide the selling prices, or they decide the wholesale prices and the retailer decides the selling prices. We derive the optimal disclosure and pricing strategies for the SBEs. We show that in equilibrium the high-quality SBE may choose not to disclose its quality and the low-quality SBE may choose to disclose its quality to customers through the retailer, which depends on the customers’ common prior belief regarding the quality of the product in the market. Besides, the high-quality SBE has a higher selling price and will obtain a higher profit than the low-quality SBE, even for the case where the customers only know the true quality of one SBE. However, when only one SBE discloses its quality to customers, the selling price of the high-quality product with disclosed quality information may be lower than that without quality information, due to the competition and information discourse mechanism. Moreover, we derive the results on how the optimal selling prices, wholesale prices, retailer’s profit and SBEs’ profits change when the customers’ common prior belief changes, and generate managerial insights of the research findings.

Kelayakan Finansial Usahatani Buah Naga Di Daerah Perkotaan Sebagai Alternatif Tambahan Pendapatan Petani

Financial Feasibility Of Dragon Fruits Farming In Urban Area As AdditionalAlternatives Of Farmer’s Revenues
 This study aims to analyze the financial feasibility of Dragon Fruit Farming in urbanareas. Analyze the sensitivity of Dragon Fruit farming on the changes of productionquantity, product selling price, and production cost. The pilot unit of Dragon FruitFarming in urban area is in Experiment Garden of Faculty of Agriculture UdayanaUniversity. Key informants of this research are garden managers, field officers, fieldworkers in Experimental Garden of Faculty of Agriculture Udayana University. Thedata used are Bank Rakyat Indonesia's interest rate, investment cost (seedlingcuttings, climbers, used tires, rope, and equipment), operational cost (fertilizer andlabor), production quantity, and product selling price. Data analysis used analysis ofinvestment criteria and business sensitivity analysis. The results showed that theDragon Fruit Farming in Experimental Garden of Faculty of Agriculture UdayanaUniversity was profitable so it was feasible to run. The value of farm income is Rp231,453,087, Net B / C value is 4.03. IRR> I is 49.63%> 18%, the rate of paybackfor five years is eight months. This effort is very sensitive to the 50% decline in theselling price.

Penetapan Harga Pokok Produksi Kacang Koro Pedang pada UD Laksmi Devi

Determination of Cost of Goods Manufactured of Jack Beanson UD Laksmi Devi
 UD Laksmi Devi is an agro-industrial processing of jack beans. The businesscompetition is high, so it is necessary to establish the appropriate best selling price ofproduct through analysis of cost of goods manufactured price of jack beans. Thisstudy aims to find out the cost of jack beans manufactured by UD Laksmi Devi, Theresult of calculation of the cost of goods manufactured based on the components ofproduction costs and non-production costs, compare the difference in the calculationof cost of production from both analysis, and show sensitivity of cost to cost ofgoods of jack beans manufactured with sensitivity analysis. Analysis of cost of goodsmanufactured are calculated only one month, namely December 2016. Calculationof the cost of goods manufactured per unit by UD Laksmi Devi Rp 28.887,33, whilethe value through the analysis of cost of goods manufactured that takes into accountthe components of production and non-production costs amount to Rp 31.529,83.Component of costs incurred by UD Laksmi Devi only production costs, making itlook bigger profits of Rp 22.005.612, compared by researched in the analysis of costof goods manuafactured only Rp 12.492.612. The difference shows that the analysisof cost of goods manufactured based on production costs and non-production costs isgood to applicate because the costs are detailed, so the cost of good manufactured areaccurate as the basic for determining the selling price of jack beans in UD LaksmiDevi.

PENGARUH HARGA JUAL PRODUK DAN BIAYA PROMOSI TERHADAP VOLUME PENJUALAN PADA PT. DRAGON PRODUK INDONESIA CARINGIN KABUPATEN BOGOR

The objectives of the research are: 1) to analyze the development of selling price of product promotion cost and sales volume at PT Dragon Indonesia product; 2) to know the effect simultaneously effect of product selling price and promotion cost to sales volume at PT Dragon Produk Indonesia; 3) to analyze the effect of partial influence of selling price of product and promotion cost to sales volume at PT Dragon Produk Indonesia. The result of research shows the selling price of selling price of mop and broom during the year of 2015 from February to December fluctuated due to less stable market condition. Promotion costs for mop and broom during the year of 2015, from January to December continue to increase due to the company wants a maximum sales volume or profit. Sales volume, especially mop equipment within a year from January to December continued to fluctuate, ie in January sales of mops and brooms and in February decreased by 9 percent. Factor of selling price and promotion cost have positive and significant influence simultantly and partially to sales volume variable.Keywords: Price, Promotion, Sales Volume

An Analysis of Production Cost Effect With Order Price Method on Sales Pricing of Products at PT. Aneka Printing Indonesia in Sukoharjo

This study aims to determine and analyze the calculation of the cost of production of screen printing based on the cost of order method whether it has been in accordance with the theory of cost accounting by comparing the calculation of cost of goods manufactured by the company with the calculation of cost of production based on the cost accounting theory that is using full costing method, As well as to know how much influence the cost of production to the determination of product selling price. This study uses primary data in the form of information obtained from the owner of the company or parties concerned and secondary data with population and sample data of cost of production and selling price of screen printing orders during January 2017. Data collection methods used are literature research methods, interviews and Method of documentation. While the method of data analysis used is by using simple regression analysis, coefficient of determination and hypothesis test using t test by using the tool program SPSS 16.0 for windows. From the results of research indicate that the calculation of cost of production based on the results of analysis using full costing method is greater than the calculation of cost of production method company. This difference occurs because the loading of factory overhead cost calculated using full costing method more thorough and detailed. Based on the tests conducted known that the cost of production has a very strong influence on the sale price. The influence of the cost of production to the selling price in this study is 91%, and the remaining 9% is influenced by other factors (variables) such as demand, supply, and other unreported variables.Keywords: Cost of Production, Selling Price

Impact of the Free Trade Zone on Cigarette Consumption: An Examination of Indonesian Households

Objective - The purpose of this research is to evaluate the impact of the Free Trade Zone ('FTZ') in the Riau Islands Province (Batam, Bintan and Karimun) on specific products, i.e. cigarettes. Methodology/Technique - To investigate the demand for cigarettes in the FTZ area, this study examines data on cigarette consumption in Batam and surrounding areas before and after the implementation of the FTZ. The data is collected from SUSENAS surveys conducted in 2003, 2005, 2008, 2011 and 2014. To examine the net impact of the FTZ, this study also uses an experimental approach; the implementation of the FTZ can be viewed as a natural influence on a decrease in prices of specific products. The subject group includes households in the Riau Islands Province. Households in the surrounding provinces are therefore used a control groups. Several indicators were used to identify and establish the control groups, including: cigarette consumption, population, sex ratio, life expectancy and education level. Following this criteria, Bengkulu Province was selected as the ideal group of control candidates. Findings - The results show that there has been a significant increase in cigarette consumption in the Riau Islands Province following the implementation of the FTZ. Novelty - The introduction of the FTZ means that trade commodities, including cigarettes, are no longer subject to excise duty. As a result, the selling price of tobacco products has become very cheap. Type of Paper: Empirical. Keywords: Cigarette Tax; Free Trade Zone; Indonesian Households; Natural Experiment. JEL Classification: F10, F13, F19.

Cellulose micro‐ and nanofibrils (CMNF) manufacturing ‐ financial and risk assessment

AbstractConversion economics, risk, and financial analyses for an industrial facility manufacturing cellulose micro‐ and nanofibrils (CMNF) from wood pulp is presented. Process data is based on mass and energy balances from a pilot facility in the University of Maine. Here, CMNF is produced from untreated wood pulp by using disk refining, with an assumed production capacity of 50 t (dry metric ton equivalent) per day. Stand‐alone and co‐location manufacturing facilities were simulated and assessed. Minimum product selling prices (MPSP, estimated to achieve a 16% hurdle rate) for different scenarios ranged from USD 1893/t CMNF to USD 2440/t CMNF (dry equivalent). Pulp and energy consumption were identified as major cost drivers. Consequently, it was found that the use of alternative feedstock, in addition to co‐location configuration, can reduce MPSP by 37%. Since estimated MPSP of CMNF is lower than cellulose nanocrystals (CNC) – both estimated to achieve a 16% hurdle rate, we believe market adoption of CMNF in the near term is more promising, regardless of specific applications. This study provides state of the art business intelligence information on the conversion economics, risk, and financial analyses for CMNF manufacturing. Thus, the data represents valuable information to entrepreneurs, R&D scientists, and product developers who plan to adopt CMNF in their processes and products. © 2017 Society of Chemical Industry and John Wiley & Sons, Ltd

Implementation of fuzzy logic to determining selling price of products in a local corporate chain store

Corporate chain store is one type of retail industries companies that are developing growing rapidly in Indonesia. The competition between retail companies is very tight, so retailer companies should evaluate its performance continuously in order to survive. The selling price of products is one of the essential attributes and gets attention of many consumers where it’s used to evaluate the performance of the industry. This research aimed to determine optimal selling price of product with considering cost factors, namely purchase price of the product from supplier, holding costs, and transportation costs. Fuzzy logic approach is used in data processing with MATLAB software. Fuzzy logic is selected to solve the problem because this method can consider complexities factors. The result is a model of determination of the optimal selling price by considering three cost factors as inputs in the model. Calculating MAPE and model prediction ability for some products are used as validation and verification where the average value is 0.0525 for MAPE and 94.75% for prediction ability. The conclusion is this model can predict the selling price of up to 94.75%, so it can be used as tools for the corporate chain store in particular to determine the optimal selling price for its products.

Integrated pricing and lot-sizing decisions in a serial supply chain

• We consider a serial supply chain with multiple suppliers and price sensitive demand. • The objective is to maximize profit and determine order quantities for selected suppliers. • This integrated process is modelled as a mixed integer nonlinear program. • A different multiplicative factor is assigned to each supplier. • We propose a power-of-two heuristic algorithm that generates near optimal solutions. In this article, we consider a serial supply chain controlled by a decision-maker who is responsible for deciding the amount of raw material to order from the selected suppliers, the amount of product to transfer between consecutive stages in order to avoid any inventory shortages, and the final product's selling price so that the profit per time unit is maximized. Coordinating all these decisions simultaneously is a topic that has been neglected in literature. This integrated process is modeled as a mixed-integer nonlinear programming model. In addition, the model requires the order quantity received from each selected supplier to be an integer multiple of the order quantity delivered to the following stage, which means that a different multiplicative factor can be assigned to each supplier. This coordination mechanism shows an improvement in the objective function compared to existing models that assign the same multiplicative factor to each selected supplier. Moreover, we develop a heuristic algorithm that generates near optimal solutions in a timely manner. Two numerical examples are presented to illustrate the proposed model and the heuristic algorithm.

Integrated and Dynamic Design of Sustainable Closed-loop Supply Chain Network Considering Pricing

In this paper, a novel multi-objective model for dynamic and integrated network design of sustainable closed-loop supply chain network is proposed, which aims to optimize economic, environmental, and social concerns, simultaneously. In order to have a dynamic design, multiple strategic periods are considered during the planning horizon. Furthermore, different short-term decisions are integrated with long-term decisions related to the network design problem. Two of these short-term decisions are determining selling price of products in forward logistics and buying price of used products from customer zones in reverse logistics. Based on the complexity of proposed multi-objective model, a multi-objective imperialist competitive algorithm (MOICA) is proposed to solve the model, and the results are compared with a non-dominated sorting genetic algorithm (NSGA-II). Finally, to evaluate the performance of proposed algorithm, several numerical examples are used, which the results indicate the efficiency of the proposed algorithm.